Hochschild Mining PLC’s shares rose 5% following the sale of its Arcata mine and Azuca project to Sierra Caraz. This divestiture is part of a strategy to concentrate on key assets in Peru, such as the Inmaculada and Pallancata-Royropata projects, as well as operations in Brazil and Argentina.
Hochschild Mining PLC, traded on the London Stock Exchange and OTC Markets, experienced a notable increase of 5% in its shares during early trading on March 5, 2025. This rise followed the announcement regarding the successful divestiture of its former Arcata mine along with the Azuca project to Sierra Caraz, although the financial terms of the transaction remain undisclosed.
This strategic divestment aligns with Hochschild’s ongoing initiative to prioritize its primary assets in Peru, specifically the Inmaculada and Pallancata-Royropata projects, in addition to its operations in Brazil and Argentina. The Arcata mine, historically a silver-centric underground site located in Arequipa, operated from 1964 until its closure in 2019 when it transitioned to care and maintenance. Meanwhile, the Azuca project, situated approximately 60 kilometers away, is also oriented towards silver production.
Sierra Caraz, the acquiring party, has connections to Sierra Sun Precious Metals, a private organization with established mining activities within Peru. As a result of these developments, Hochschild Mining’s shares rose by 9.44 pence, reaching a price of 193.44 pence in the early trading session.
Hochschild Mining’s recent sale of non-core assets, specifically the Arcata mine and the Azuca project, reflects its commitment to focusing on its key operations in Peru and neighboring countries. This strategic realignment resulted in a significant rise in share prices, underscoring investor confidence in the company’s focus and future prospects within the mining sector.
Original Source: www.proactiveinvestors.co.uk
